Singapore is leading the race to become a crypto hub in Southeast Asia. In 2024, the country issued 13 different crypto licenses, more than double the number issued in the previous year.
With the latest approvals, Singapore outpaced Hong Kong’s licensing regime efforts, making it a more regulatory-friendly choice for various crypto operators and leading exchanges.
Singapore’s Latest Licensing Achievements
This year, Singapore licensed powerhouse exchanges OKX and Upbit and other firms like BitGo, GSR, and Anchorage. The city-state continues to advance its agenda to attract digital asset firms by offering flexible token listing and asset custody policies.
On Tuesday, Independent Reserve became the first cryptocurrency exchange in Singapore to list RLUSD, Ripple’s USD-backed stablecoin. This integration will likely improve the client experience for the exchange’s Singapore-based clients by enabling efficient cross-border liquidity solutions, resulting in faster and more cost-effective global transactions.
“Independent Reserve is proud to be the first regulated exchange in Singapore to offer secure and reliable access to RLUSD, staying true to our mission of leveraging crypto and blockchain technology to transform financial services,” said Lasanka Perera, CEO of Independent Reserve Singapore, in a press release.
Currently, users can buy and sell RLUSD using Singapore and US dollars. With this addition, Independent Reserve became the 10th crypto platform to offer Ripple’s stablecoin.
Hong Kong’s Slow Progress
Singapore has a particular advantage over Hong Kong, where a similar licensing regime has slowly taken off. Although regulators intend to authorize more exchanges by year-end, only seven platforms have been fully licensed in Hong Kong, with four receiving approvals this week.
A further seven hold provisional permits, while prominent exchanges OKX and Bybit withdrew their applications without explanation.
Due to a restrictive licensing regime, Hong Kong has fallen behind in its business appeal for crypto firms. The state’s regulations currently limit cryptocurrency trading to more liquid assets such as Bitcoin and Ethereum, excluding other tokens from trading.
Analysts point to China’s regulatory stance on crypto as a potential constraint on Hong Kong’s ambitions to become a leading crypto hub. Given China’s ban on crypto trading, Hong Kong faces a unique regulatory environment influenced by its close relationship with mainland China.
In contrast, Singapore’s forward-thinking regulatory framework and overall supportive environment have positioned it as a more attractive and stable long-term base for crypto businesses in greater Asia.
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